Iowa Casino Hangs Up for Market Study
Posted on September 25, 2008 - Filed Under Casino Articles, Casino tournaments, Gambling News
The chief gambling regulator of Iowa declared that the plans for opening up a $90 million casino at northwest Iowa has to wait for a market study on statewide gambling. This market study will get over somewhere between April and June next year.
The voters of Lyon County have voted 62 percent to 38 percent in preference of making the casino gambling legal there. The $90 million casino plan will be constructed by Kehl Management. It is supposed to be set up on the border region of Iowa-South Dakota on Iowa Highway 9.
Kehl Management has already conducted a market research and has been able to ascertain that the proposed casino will yield about $52 million per annum. Besides, it will create job opportunities for many. They are eagerly looking forward to build the casino.
Kehl Management is waiting for the market study of the Iowa Racing and Gaming Commission. They are sure that the proposed casino is going to draw a huge crowd, nearly 85 to 90 percent from Minnesota and South Dakota. It is expected that the major crowd will be from Sioux Falls metropolitan area.
According to a study, about half of the $1.1 billion of annual net gambling revenue of Iowa is pulled out of the casino lovers of the surrounding states. A contract will be issued soon to the researchers of the Iowa Racing and Gaming Commission, who is supposed to carry out the market study.
The market study of these researchers will also consist of a demographic analysis to find out that whether there is any space for extra casinos in Iowa or not. Riverside Casino and Golf Resort is currently run by the Kehl Management.
The facility at Lyon County will be a bit smaller according to Kehl. However, its version will be similar to that of Riverside complex. It has been decided that the casino will be funded by the investors of Iowa.
This will compose of $9 million in equity from the investors of Riverside, $9 million from Kehl Management, and an extra of $18 million from other investors of Iowa. As of now, Kehl Management has nothing to do but to just wait and watch for the right time to arrive.
